The Analytical Overview of the Main Currency Pairs on 2018.08.09

The EUR/USD currency pair

Technical indicators of the currency pair:

Prev Open: 1.15980

Open: 1.16098

% chg. over the last day: +0.09

Day's range: 1.15934 – 1.16046

52 wk range: 1.0571 – 1.2557

Yesterday, there was a variety of trends on the EUR/USD currency pair. At the moment, the technical pattern is ambiguous. Investors expect additional drivers. The key support and resistance levels are 1.15800 and 1.16150, respectively. We recommend opening positions from these marks.

The news feed on 2018.08.09:

- The number of initial jobless claims in the US at 15:30 (GMT+3:00);

- Producer price index in the US at 15:30 (GMT+3:00).

Indicators do not send accurate signals. The price has crossed 200 MA.

The MACD histogram is located near the 0 mark.

Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, which signals to sell EUR/USD.

Trading recommendations

Support levels: 1.15800, 1.15400

Resistance levels: 1.16150, 1.16600, 1.17000

If the price fixes above the resistance level of 1.16150, the EUR/USD quotes are expected to rise. The movement is tending to 1.16600-1.16800.

Alternative option. If the price fixes below the support level of 1.15800, it is necessary to consider sales of EUR/USD. The movement is tending to 1.15400-1.15200.

The GBP/USD currency pair

Technical indicators of the currency pair:

Prev Open: 1.29378

Open: 1.28790

% chg. over the last day: -0.48

Day's range: 1.28446 – 1.29757

52 wk range: 1.2361 – 1.4345

The bearish sentiment prevails on the GBP/USD currency pair. During yesterday's and today's trading sessions, quotes have decreased by more than 100 points. Investors are still concerned about the consequences of Brexit. At the moment, the local support and resistance levels are 1.28350 and 1.28800, respectively. The trading instrument has the potential for further reduce.

The news feed on the UK economy is calm.

Indicators point to the power of sellers: the price has fixed below 50 MA and 200 MA.

The MACD histogram is in the negative zone and continues to decline, which gives a strong signal to sell GBP/USD.

Stochastic Oscillator is located in the neutral zone, the %K line is below the %D line, which also indicates the bearish sentiment.

Trading recommendations

Support levels: 1.28350, 1.28000

Resistance levels: 1.28800, 1.29400, 1.30000

If the price fixes below 1.28350, the GBP/USD quotes are expected to fall. The movement is tending to 1.28000-1.27750.

Alternative option. If the price fixes above the resistance of 1.28800, correction movement is expected. The movement is tending to 1.29200-1.29500.

The USD/CAD currency pair

Technical indicators of the currency pair:

Prev Open: 1.30521

Open: 1.30481

% chg. over the last day: -0.25

Day's range: 1.30125 – 1.30210

52 wk range: 1.2059 – 1.3795

Yesterday, aggressive sales were observed on the USD/CAD currency pair. Quotes rose, but then fell by more than 100 points. At the moment, the technical pattern is ambiguous. The key support and resistance levels are 1.30000 and 1.30300, respectively. The USD/CAD currency pair is tending to grow.

Today, the news feed on the economy of Canada is calm.

Indicators do not send accurate signals: the price has crossed 50 MA and 200 MA.

The MACD histogram is in the negative zone and below the signal line, which gives a signal to sell USD/CAD.

Stochastic Oscillator is located in the neutral zone, the %K line has crossed the %D line. There are no signals at the moment.

Trading recommendations

Support levels: 1.30000, 1.29700

Resistance levels: 1.30300, 1.30600, 1.30900

If the price fixes above the key resistance of 1.30300, the USD/CAD quotes are expected to rise. The target movement level is 1.30600-1.30800.

Alternative option. If the price fixes below the round level of 1.30000, it is necessary to consider sales of USD/CAD. The movement is tending to 1.29700-1.29500.

The USD/JPY currency pair

Technical indicators of the currency pair:

Prev Open: 111.357

Open: 110.967

% chg. over the last day: -0.43

Day`s range: 110.966 – 111.034

52 wk range: 104.56 – 114.74

During yesterday's trading session, a downward trend was observed on the USD/JPY currency pair. Quotes fell by more than 70 points. At the moment, the USD/JPY quotes are consolidating. Local support and resistance levels are 110.900 and 111.200, respectively. We recommend paying attention to the dynamics of the US government bonds yield. Further growth of the currency pair is not excluded.

The news feed on the economy of Japan is calm.

The price has fixed below 50 MA and 200 MA, which indicates the power of sellers.

The MACD histogram is in the negative zone, but above the signal line, which gives a weak signal to sell USD/JPY.

Stochastic Oscillator is located in the overbought zone, the %K line is crossing the %D line. There are no accurate signals.

Trading recommendations

Support levels: 110.900, 110.650

Resistance levels: 111.200, 111.500, 111.800

If the price fixes below 110.900, it is necessary to look for entry points to the market to open short positions. The movement is tending to 110.650-110.500.

This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer,
and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.